Coral Gables, FL (Vocus) December 4, 2009
The Law Firm of Tramont Guerra & Nunez, PA (TGN) announces the recent filing of a securities arbitration claim against First Montauk Securities Corporation (“First Montauk”)with the Financial Industry Regulatory Authority (FINRA), Case No. 09-06291, for investment losses in Medical Provider Financial Corporation IV Series I, Secured Notes (Notes) issued by Medical Capital Holdings, Inc. (MCH). The arbitration claim filed by two business partners who allege that they were solicited through representations that the Notes were stable investments, suitable to generate current income for risk adverse investors. Furthermore, the claim alleges that there were sales practice violations by First Montauk with respect to the solicitation of the investments which included misrepresentations, failure to conduct adequate due diligence, failure to make suitable investment recommendations and failure to supervise activities of the financial advisor.
Investors should consider whether an individual securities arbitration claim filed with the Financial Industry Regulatory Authority (FINRA) is a viable method to recover their investment losses. The brokerage firms who distributed the securities issued by MCH and its affiliated entities were obligated to conduct due diligence of facts concerning the risks associated with the investments. Financial advisors told many investors that these securities were suitable for current income investment objectives. Brokerage firms are obligated to give, and investors are entitled to rely upon brokerage firms for, competent, suitable investment advice in accordance with FINRA Rules and Regulations. Recommendations of unsuitable investments and/or failure to conduct adequate due diligence are both causes of action that form the basis for individual securities arbitration claims filed with FINRA.
The Securities Law Firm of Tramont Guerra & Nunez, PA, is a nationally recognized, Martindale Hubbell “AV” rated securities law firm. To request a confidential consultation from a TGN attorney to assist you in determining whether you have a viable securities arbitration claim for investment losses that exceed $100,000 from a full service brokerage account, contact us on our website. To speak directly with an attorney, call (800) 578-0137 and ask for Benjamin Fernandez, Esquire.